River Place South Board Minutes-September 24, 2019

​ThRiver Place South Housing Corporation (RPSHC)
Final Minutes From the Board of Directors Meeting
Tuesday, September 24, 2019
 
In Attendance – Board of Directors

• Janice Mays, President
• Jim McInerney, Treasurer
• Sara Shahade, Secretary
• Lauren Hall, Director
• Vikram Reddy, Director
• Richard Villegas, Director

 
Regrets – Board of Directors

• Waqas Ali, Vice President

 
In Attendance – Property Management

• Joette Waters, General Manager
• Bryan Hernandez, Assistant General Manager
• Bob Porco, Senior Financial Manager with First Service Residential

 
In Attendance – Shareholders

• Nancy Greenberg, Unit 542
• Crystal Jobe, Unit 1007

 

1. Call to Order

The Board of Directors of the River Place South Housing Corporation held a meeting on Tuesday, September 24, 2019.  Board President Janice Mays called the meeting to order at 6:00 p.m.
 

1. Financial Report
2. Year-to-Date Financials:

1. Bob Porco, Senior Financial Manager with First Service Residential (FSR), reported on the cooperative’s financial standing through August 31, 2019 (the end of the first four months of the fiscal year).  The cooperative’s cash position is strong with cash totaling $430,000 and reserves totaling $1.6 million.  Operating expenses are under budget by 9%.  A second operating account was opened to ensure the cooperative’s cash remains within the FDIC coverage limitation.  Per the budget, a total of $30,000 per month is transferred from the rental revenue to the cooperative, and then a total of $50,000 per month is transferred into the reserves.  The cooperative’s delinquencies remain low, and Mr. Porco reminded Board members that the annual budget includes a $50,000 contingency line item – funds that have typically not been used, but are available if needed.
2. Ms. Water reported $127,000 was transferred out of the reserves on Monday, September 23, 2019 to cover expenses for current projects.  She noted the cost of the upcoming façade project will total $400,000 to $500,000, with those costs to be paid from the reserves.
3. Mr. Porco will follow up with the Goldklang Group CPAs, P.C. to determine the status of the audit.

 

1. New Accounting System: Mr. Porco reported, since Monday, April 1, 2019, FSR has been working to convert their accounting system from MRI to a proprietary software package called Community Association Management Accounting (CAM ACCT) that is owned by First Service Residential.  The launch date for use of the CAM ACCT system will be Friday, November 1, 2019.  Mr. Porco asked management and the Board of Directors to employ patience as any glitches are worked out during the initial stages.  The CAM ACCT financial statements will be similar to what management and Board members are accustomed to receiving from the MRI system.  However, some additional reports will be offered with the CAM ACCT system, and new general ledger codes will be used that will also be incorporated into the cooperative’s budget.  The first financial statement generated by the CAM ACCT system will be the November 2019 financial statements to be provided in December 2019.  Mr. Porco will present a sample set of financials ahead of December 2019 for review by management and members of the Board.

 
 

1. Resident Participation

Crystal Jobe of Unit 1007 sought clarity concerning the in-unit pest control process, and inquired whether items are removed from cabinets or drawers during the service.  Ms. Waters explained shareholders are not required to remove items when pest control services are being provided in their units.  Service is provided in 12 units per week so that each unit is serviced twice per year, and the process is not typically invasive.  Ms. Waters indicated notice of in-unit extermination services is provided to shareholders 48 hours in advance of their service date.
 

1. Approval of Agenda

Ms. Shahade moved to approve the September 24, 2019 Board Meeting agenda as presented.  Mr. Villegas seconded, and the motion carried unanimously (6-0-0).
 

1. Approval of Meeting Minutes (August 27, 2019)

Mr. Villegas moved to approve the August 27, 2019 Board of Directors Meeting minutes, subject to incorporating the revisions posed by Ms. Hall.  Ms. Shahade seconded, and the motion carried unanimously (6-0-0).
 

1. Reports
2. President’s Report: A President’s Report was not presented.

 

1. Treasurer’s Report: Please see Section II of these minutes.

 

1. Owners Association (OA) Report:

1. Ms. Mays reported Bill Smith has resigned as General Manager of the Owners Association.  The OA Board of Directors has offered the position to Nafeesa Saafir, the current Assistant General Manager, and is in discussions regarding salary and other details.
2. Ms. Hall reported the OA has closed their account with Lafayette Federal Credit Union.  The River Place South Board of Directors discussed the cooperative’s relationship with various financial institutions, and Mr. Villegas reported the cooperative’s current lenders include Lafayette Federal Credit Union and UN Federal Credit Union.  Mr. Villegas will schedule a presentation from the Cambridge Bank representative with which he has been communicating.

 
 
  VII.Management Report
A.     Balcony Work: The balcony project was completed at a total cost of $273,633.  The total paid to Commercial Waterproofing was $214,833 – an overage of $19,483 due to additional paint, carpet and tile work that was required.
 
B.     Façade Work: This project is anticipated to begin in spring 2020, as the cooperative will take a break from major exterior projects during the winter months.
 
C.     Cell Towers: Ms. Waters spoke with Attorney Kevin Kernan and learned that one of the lawyers from Whiteford, Taylor Preston is reviewing the cooperative’s contract with T-Mobile to determine whether T-Mobile has the authority to install 12 antennas on the South Building’s rooftop.  Management and the Board of Directors believes the installations would be contrary to the nine antennas noted in the drawing attachment in the original contract.
 
D.    Second Floor Rodent/Pest Issue: Some second floor units sit atop humid, damp areas of the boiler room.  A safety valve recently blew on an RBI (hot water heater), causing hot water to flood the boiler room floor.  During the days that followed, residents of Units 215 through 221 began to experience multiple mice sightings.  The only way to prevent rodent access from the boiler room is to close the risers – something that must be done from within each unit.  C.L. Boyd will begin closures to the convectors in Units 215, 216, 218, 219, 220 and 221 at a cost of $550 per unit.  At the request of Ms. Mays, Ms. Waters will inquire during the next Managers’ Monthly Meeting whether the other buildings have been experiencing the same issue; and, if so, what they did to address them.
 
E.     Reserve Accounts: Signature cards have been signed for the reserve accounts, and they were returned to FSR during the day on Tuesday, September 24, 2019.  The funds removed from National Cooperative Bank were deposited with United Bank.
 
F.      RivStar Transfer Agency: Management has been unable to reach Christine Stark of the RivStar Transfer Agency to pick up the long overdue stock certificates.  The lack of response is causing a delay in transferring a River Place South unit into a Trust.  Ms. Waters will invite Ms. Stark to attend an upcoming South Building Board meeting to discuss the process for the certificates.
 
G.    Non-Smoking Building – Bylaws Change: A letter is being drafted for sending to all shareholders and residents within the coming few weeks to inform them of the changes in the smoking policy, and to notify them about the balcony rules as they relate to coverings, paint, tile, etc.  Ms. Waters noted smoking complaints continue.  Ms. Waters will contact Attorney Kernan to determine what the cooperative is required to do to provide a smoking spot for residents; and to devise penalties for non-compliance.
 
H.    Rules and Regulations Re: Hate Speech, Emblems, Symbols and Assaults: During their October 2019 meeting, the Board of Directors will discuss language drafted by Ms. Hall concerning the handling of incidents involving hate speech, emblems, symbols and assaults.
 

1. Resale Notifications

No resale notifications were presented.
 

1. New Business
2. Date of Next Board of Directors Meeting: Board members agreed by unanimous consent to hold their next meeting on Tuesday, October 29, 2019 at 6:00 p.m.

 

1. Old/Unfinished Business

No matters of Old/Unfinished Business were raised.
 

1. Temporary Adjournment to Executive Session

The Board of Directors temporarily adjourned the Open Session at 6:58 p.m. to hold an Executive Session to discuss confidential matters.
 

1. Adjournment

Following the conclusion of the Executive Session, the September 24, 2019 Board of Directors meeting was adjourned at 7:45 p.m.